Lila Global pays $65m for DFDE LNG carrier Diamond

Lila Global has paid $65m for the 17-year-old, dual-fuel diesel-electric LNG carrier Diamond, formerly Kmarin Diamond, according to broker reports — more than double what it spent on its previous LNG acquisition just weeks earlier.

The deal marks the third LNG carrier purchase by Lila Global, the shipowning arm of cash buyer GMS, since September. The first two were steam-powered tonnage. Diamond is different: it runs on DFDE propulsion, a more modern and fuel-efficient system than classic steam turbine plants.

The buying spree began with the 2003-built, steam-powered Castillo de Villalba, renamed Carla after joining the fleet. Earlier this month, Splash reported that Lila Global bought the 18-year-old, steam-powered Tangguh Batur — a 145,700 cu m carrier — for $30m and renamed it Eagle M.

Now Diamond has followed. Brokers put the price at $65m, a figure that sits uncomfortably beside the $30m paid for Eagle M. All three vessels now appear on Lila Global's website, confirming the fleet listings.

What does the price gap tell us?

The spread between the two most recent deals is the story's hardest number. Eagle M cost $30m. Diamond cost $65m — roughly $35m more, or 2.2 times the price, for a vessel just one year younger.

Propulsion explains most of that gap. Steam-powered LNG carriers are the oldest, least efficient segment of the fleet, and they trade at deep discounts. DFDE vessels burn less fuel and appeal to a wider pool of charterers, so they command materially higher prices. Lila Global has now bought into both tiers of the ageing LNG market in a single season.

Who is Lila Global?

Lila Global is the shipowning arm of GMS, the Dubai-based cash buyer best known for purchasing end-of-life tonnage for recycling. Its move into LNG carriers is an expansion rather than a pivot: the company is adding mid-life and older gas tonnage alongside its established activities.

Three purchases since September is a deliberate pace for a market this niche. LNG carriers are capital-intensive, technically demanding assets, and older units carry the added question of where they will ultimately be recycled — GMS's home turf.

What does this change for the ageing LNG market?

For sellers, Lila Global's arrival adds a liquid buyer for vessels that mainstream operators may want to exit — steam tonnage in particular. The $30m paid for Eagle M shows there is a firm bid for 18-year-old steam carriers, not just scrap value.

For Lila Global, the mix is the interesting part. Carla and Eagle M are steam vessels likely heading toward either niche trading or eventual recycling. Diamond, at $65m with DFDE propulsion, looks like an asset bought to work — the higher price only makes sense if the vessel earns revenue as a going concern.

The pattern suggests the company is testing both ends of the vintage LNG market simultaneously: cheap steam tonnage and more capable DFDE ships. If charter demand for older LNG carriers holds, Diamond could anchor the fleet while the steam pair serve as flexible options.

Whether Lila Global keeps buying is the open question. Three vessels in under five months indicates appetite; the price escalation from $30m to $65m indicates willingness to pay up for efficiency. Further acquisitions in the vintage LNG segment would confirm a strategy rather than opportunistic picks.